Standard Life unveils 1825’s proposition and pricing

Standard Life unveils 1825’s proposition and pricing

Standard Life has given further detail on its new financial planning business’ proposition, stating that indicative costs of the 1825 portfolios will be around 75 basis points.

In February this year, the group revealed it would build a wholly-owned, UK-wide, financial planning firm, building on Skipton Building Society’s Pearson Jones advisory business.

Standard Life said that the launch of 1825 represents an exciting new chapter, combining the strength of one of the UK’s oldest financial services brands with a modern approach to financial advice.

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A spokesperson said that at present there is no target for the optimum number of advisers within 1825, but that to be able to operate on a nationwide basis, they believe it would need at least 150 advisers to meet the anticipated demand.

The service offered to clients will include advice on protection, trusts, tax, wealth management and retirement planning, as well as day-to-day cash and borrowing.

Portfolios will be specifically designed for 1825 with “expert” asset allocation and fund selection provided by Standard Life Wealth and supported by Standard Life Investments. To offer the widest range of investment options, funds from other asset managers will also be available.

A spokesperson for the firm said that the indicative cost of the 1825 portfolios is in the region of 75 basis points.

“This will of course vary slightly across the five different risk levels of the portfolios, and may fluctuate due to the costs of the underlying funds,” they stated.

“The 75bps includes the costs of the underlying funds and the Standard Life Wealth discretionary management fee. The Standard Life Wealth discretionary management fee is competitive and covers the asset allocation, fund selection, and ongoing monitoring, including regular rebalancing, of the 1825 portfolios.”

The website went live last week on 7 July.

Steve Murray, 1825 chief executive, said that there has never been more complex for people to save, retire and plan for the future, so quality financial advice has become a must-have for many.

“At the same time, there is a capacity crunch in the UK advice market, with many people unable to access the advice they want. By cutting through the complexity, we’re aiming to help our clients better understand their financial situation to achieve their aspirations and goals.”